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Opinion: Bitcoin miners increasingly focus on finding alternative energy sources to reduce costs

18/09 21:47
Odaily Planet Daily News Today’s crypto mining companies are increasingly focusing on alternative energy sources to reduce costs, ensure profits, and in some cases, reduce environmental impact. Steven Lubka, managing director of Swan Bitcoin, a financial services company focused on Bitcoin, said that while the average cost of producing one Bitcoin is about $26,000, mining companies focusing on renewable energy only cost $5,000 to $15,000. A spokesperson for U.S.-listed Bitcoin miner Riot Blockchain said that wind and solar energy generated in Texas help Riot ensure the lowest cost of cryptocurrency mining. He said: “As stated in our second quarter investor report, the cost for Riot to generate one Bitcoin is $8,389.” Kent Halliburton, president and chief operating officer of Sazmining, a Bitcoin mining service provider, said that the largest expenditure in mining has always been electricity: “Bitcoin mining companies will naturally be incentivized to find the lowest-cost electricity. Excess electricity has the lowest price. For renewable energy, Renewable energy, often with a surplus of electricity, makes it ideal for Bitcoin mining.” Halliburton added that independent data from the Bitcoin Mining Council shows that the Bitcoin network may indeed be one of the most sustainable industries. It is claimed that 59% of Bitcoin mining operations are carbon-free and growing at a rate of nearly 4.5% per year. (Cointelegraph)